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Bed Bath & Beyond Inc. (NASDAQ:BBBY) is scheduled to report its Q2 2012 results on September 19, 2012, after the bell. The street expects EPS and revenue of $1.02 and $2.52B, respectively.

In this article I will recap the historical results of the company, its latest EPS estimates vs. surprises, the latest news from BBBY and the news from its closest competitors.

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Recent EPS Actuals vs. Estimates

The company has met or beaten analysts' estimates in the last five quarters. In the last quarter it reported $0.89 EPS, beating analyst estimates of $0.85.

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Earnings ReleaseEstimateActualPrice BeforePrice AfterPrice Change %
2012-06-20$0.85$0.89$74.26$61.29-17.47%
2012-04-04$1.33$1.48$66.88$70.835.91%
2011-12-21$0.89$0.95$60.68$57.83-4.7%
2011-09-21$0.84$0.93$59.86$57.23-4.39%
2011-06-22$0.63$0.72$52.59$56.828.04%

The consensus EPS estimate is $1.02 based on 25 analysts' estimates, up from $0.93 a year ago. Revenue estimates are $2.52B, up from $2.31B a year ago. The median target price by analysts for the stock is $75.00.

Average recommendation: Overweight

Source: Marketwatch

Analyst Upgrades and Downgrades

  • On August 13, 2012, Canaccord Adams upgraded the company from Hold to Strong Buy.
  • On June 28, 2012, BB&T Capital Mkts upgraded the company from Hold to Buy.
  • On June 21, 2012, UBS reiterated Neutral rating for the company.
  • On June 21, 2012, Oppenheimer reiterated Outperform rating for the company.
  • On June 21, 2012, Canaccord Genuity reiterated Hold rating for the company.
  • On April 11, 2012, Canaccord Genuity downgraded the company from Buy to Hold.
  • On April 5, 2012, UBS reiterated Neutral rating for the company.
  • On April 5, 2012, Canaccord Genuity reiterated Buy rating for the company.
  • On April 5, 2012, Barclays reiterated Overweight rating for the company.
  • On March 20, 2012, Deutsche Bank reiterated Buy rating for the company.
  • On March 19, 2012, Longbow downgraded the company from Buy to Neutral.

Latest News

  • On June 20, 2012, Bed Bath & Beyond Inc. announced that for the second quarter of 2012, it expects modeling net earnings per diluted share to be approximately $0.97 to $1.03 and continues to model net earnings per diluted share to increase by a high single to a low double digit percentage range for all of fiscal 2012, which will be 53 weeks.
  • On June 1, 2012, Bed Bath & Beyond Inc. announced the all cash acquisition of Linen Holdings, LLC for approximately $105 million. Based in Gibbsboro, New Jersey, Linen Holdings, LLC is a privately-held, value-added distributor of bath, bed and table linens, other textile products and amenities to customers in the hospitality, cruise line, food service, healthcare and other industries.
  • On May 9, 2012, Bed Bath & Beyond Inc. and Cost Plus, Inc. jointly announced that they have entered into a definitive agreement under which Bed Bath & Beyond Inc. will acquire Cost Plus, Inc. in an all cash transaction.
  • On April 6, 2012, Bed Bath & Beyond Inc. announced that for the first quarter of 2012, it expects modeling consolidated net sales to increase by 4% to 6% and modeling net earnings per diluted share (NYSEARCA:EPS) to be approximately $0.79 to $0.83. For fiscal 2012 it expects modeling consolidated net sales to be 5% to 7% and net earnings per diluted share to increase by a high single digit to a low double digit percentage.

Competitors

Macy's (NYSE:M), Pier 1 Imports (NYSE:PIR), Target (NYSE:TGT), and Williams-Sonoma (NYSE:WSM) are peers for comparison for Bed Bath & Beyond and the table below provides the key metrics for these companies and the industry.

Bed Bath & Beyond Inc. key ratio comparison with direct competitors

The chart below compares the stock price changes as a percentage for the selected companies and S&P 500 index for the last one year period.

BBBY Chart

BBBY data by YCharts

Competitors' Latest Development

  • On September 13, 2012, Target Corp announced that the Board of Directors has declared a quarterly dividend of 36 cents per common share. The dividend is payable December 10, 2012 to shareholders of record at the close of business November 21, 2012.
  • On September 5, 2012, Target Corp announced that for fiscal 2012, it expects earnings per share to be $4.65-$4.85.
  • On August 30, 2012, Pier 1 Imports Inc announced that earnings per share for the second quarter of 2013 are expected to be approximately $0.24 (GAAP) and $0.19 (non-GAAP).
  • On August 21, 2012, Williams-Sonoma, Inc. announced that for the third quarter of 2012, it expects revenue to be in the range of $905-$925 million, non-GAAP diluted earnings per share in the range of $0.43-$0.46 and GAAP Diluted EPS of between $0.38-$0.41. For fiscal 2012, it expects total net revenue to be in the range of $3.975-$4.020 billion and non-GAAP diluted EPS of $2.44-$2.51, GAAP Diluted EPS of $2.40-$2.47. The Company expects comparable store sales growth of 2%-3 % for fiscal 2012.
  • On August 15, 2012, Target Corp announced that for the third quarter 2012, it expects adjusted EPS of $0.83 to $0.93 and GAAP EPS of $0.69 to $0.79. For fiscal 2012, the Company has raised guidance and now expects adjusted EPS of $4.65 to $4.85 and GAAP EPS of $4.20 to $4.40. The difference between the GAAP and adjusted EPS range of 14 cents in the third quarter reflects the expected EPS impact of expenses related to the company's Canadian market entry.
  • On August 8, 2012, Macy's Inc raised earnings guidance for fiscal 2012 to a range of $3.30 to $3.35 per diluted share, compared with previous guidance for earnings per diluted share of $3.25 to $3.30. Guidance for same-store sales in fiscal 2012 remains unchanged at an increase of approximately 3.7%. According to I/B/E/S Estimates, analysts were expecting the Company to report EPS of $3.36 for fiscal 2012.
  • On July 27, 2012, Williams Sonoma Inc announced that Julie Whalen, Senior Vice President, Acting Chief Financial Officer, has been appointed Executive Vice President, Chief Financial Officer.
  • On July 5, 2012, Macy's Inc reaffirmed fiscal 2012 guidance and expects same store sales to rise by approximately 3.7%, with earnings per diluted share in the range of $3.25 to $3.30. According to I/B/E/S Estimates, analysts were expecting the Company to report EPS of $3.37 for fiscal 2012.
  • On July 5, 2012, Target Corp. announced that combined with the outlook for July, the Company is on-track to deliver second quarter sales and adjusted earnings per share in line with the guidance provided at the time of first quarter earnings release.
  • On June 22, 2012, Williams Sonoma Inc announced that its Board of Directors has declared a quarterly cash dividend of $0.22 per common share. The dividend is payable on August 24, 2012 to shareholders of record as of the close of business on July 27, 2012.
  • On June 14, 2012, Pier 1 Imports, Inc. announced that for fiscal 2013, it expects comparable store sales growth in the mid single-digit range, earnings per share in the range of $1.08-$1.14, compared to prior guidance of $1.06 to $1.12. The 53rd week is expected to contribute approximately $25 million to total sales and $0.01 to $0.02 to earnings per share.
  • On June 13, 2012, Target Corp. announced that its Board of Directors has declared a quarterly dividend of $0.36 per common share. The dividend is payable September 10, 2012 to shareholders of record at the close of business August 15, 2012.
  • On May 31, 2012, Pier 1 Imports, Inc. announced that first quarter 2013 earnings per share are expected to be approximately $0.16. According to I/B/E/S Estimates, analysts were expecting the Company to report EPS of $0.16 for the first quarter of 2013.
  • On May 22, 2012, Williams-Sonoma, Inc. announced that for second quarter of 2012, it expects revenue to be in the range of $850-$870 million, non-GAAP diluted earnings per share in the range of $0.38-$0.41 and GAAP Diluted EPS of between $0.38-$0.41. For fiscal 2012, it expects total net revenue to be in the range of $3.950-$4.020 billion and non-GAAP diluted EPS of $2.42-$2.49, GAAP Diluted EPS of $2.38-$2.45. The Company expects comparable store sales growth of 1%-3 % for fiscal 2012.
  • On May 18, 2012, Macy's Inc announced that it declared a regular quarterly dividend of $0.20 per share on Macy's common stock, payable July 2, 2012, to shareholders of record at the close of business on June 15, 2012.
  • On May 16, 2012, Target Corp. announced that for the second quarter of 2012, it expects adjusted EPS of $1.04 to $1.14 and GAAP EPS of $0.94 to $1.04. For fiscal 2012, the Company has raised its guidance by 5 cents and now expects adjusted EPS of $4.60 to $4.80 and GAAP EPS of $4.10 to $4.30. According to I/B/E/S Estimates, analysts were expecting the Company to report EPS of $1.00 for the second quarter of 2012; EPS of $4.29 for fiscal 2012.
  • On May 9, 2012, Macy's Inc announced that it continues to expect same-store sales to grow by approximately 3.5% for the remainder of fiscal 2012. When added to the first quarter's reported results, same-store sales growth for fiscal 2012 as a whole now is expected to be approximately 3.7% -- slightly higher than previous guidance for a same-stores sales increase of approximately 3.5% in fiscal 2012.
  • On April 5, 2012, Pier 1 Imports, Inc. announced that its Board of Directors declared a $0.04 per share quarterly cash dividend on the Company's outstanding shares of common stock.
  • On April 5, 2012, Pier 1 Imports, Inc. announced that for fiscal 2013, it expects comparable store sales growth in the mid single-digit range, Earnings per share to be in the range of $1.06 to $1.12. The 53rd week is expected to contribute approximately $25 million to total sales and $0.01 to $0.02 to earnings per share.
  • On April 5, 2012, Target Corp. updated first quarter 2012 guidance and expects adjusted earnings per share in the range of $1.04 to $1.10, compared with prior guidance of $0.97 to $1.07. The company expects GAAP EPS of $0.96 to $1.02, compared with prior guidance of $0.88 to $0.98. According to I/B/E/S Estimates, analysts were expecting the Company to report EPS of $1.03 for fiscal 2012.
  • On March 19, 2012, Target Corporation announced that, as expected, it has completed the $10 billion share repurchase program authorized by its board of directors in November 2007.

Technical Overview


The stock has a market capitalization of $16.62B and is currently trading at $71.60 with a 52 week range of $53.15 - $75.84. The stock's year-to-date performance has been 23.51%. It is currently trading above 20, 50 and 200 SMA.

Sources: Yahoo Finance, Google Finance, Marketwatch, Finviz, Reuters.

Source: Earnings Preview: Bed Bath & Beyond Reports On September 19